Log in
Show password
Forgot password ?
Become a member for free
Sign up
Sign up
New member
Sign up for FREE
New customer
Discover our services
Dynamic quotes 
News: Latest News
Latest NewsCompaniesMarketsEconomy & ForexCommoditiesInterest RatesBusiness LeadersFinance Pro.CalendarSectors 
All NewsEconomyCurrencies & ForexEconomic EventsCryptocurrenciesCybersecurityPress Releases

Sterling climbs above $1.38 against broadly weaker dollar

07/26/2021 | 05:51am EDT
British Pound Sterling banknotes are seen at the Money Service Austria company's headquarters in Vienna

(Recasts, updates prices)

LONDON, July 26 - Sterling climbed above $1.38 against a broadly weaker dollar on Monday, supported by encouraging data the previous day showing a fall in COVID-19 cases in Britain.

The dollar lost ground across the board as investor focus turned to this week's meeting of the U.S. Federal Reserve.

Sterling has held up better than most major currencies in recent weeks, supported by Britain's high vaccination rate at a time when the Delta variant has caused cases to surge worldwide.

The pound was the second-best performing G10 currency over the previous week's five-day trading period.

On the day sterling hit 10-day highs against both the dollar and euro. Against the dollar it gained 0.6% to $1.38320, while against the euro it edged up 0.3% to 85.37 pence - both were the highest levels since July 16.

Data the previous day showed new COVID-19 cases in Britain had fallen for five consecutive days for the first time since February, although officials have been cautious over whether this is a trend.

Analysts noted the data does not yet reflect the removal of most restrictions on July 19, while hundreds of thousands of people have been self-isolating after being warned to stay at home by the coronavirus mobile phone app to prevent contagion.

"If we do not get any notable pick-up in infections over the coming days, market participants are likely to conclude that the UK government's strategy is working and that this strategy could be replicated in other countries with higher vaccination rates," currency analysts at MUFG said in a note.

"It could well help support risk sentiment through a period that tends to be a period of fragile risk appetite."

The Bank of England has its own meeting scheduled for next week. BoE interest-rate setter Gertjan Vlieghe said at an event on Monday the central bank should not scale back stimulus possibly until well into 2022, because a recent uptick in inflation is likely to be temporary and COVID-19 remains a threat to the economy. (Reporting by Iain Withers Editing by Kevin Liffey and David Holmes)

ę Reuters 2021
Latest news "Economy & Forex"
02:42aMINISTRY OF UNIFICATION OF REPUBLIC OF KOREA : Regular Briefing by Spokesperson Lee Jong Joo
02:39aXIAOMI : China's Xiaomi engaging expert to assess Lithuania censorship claims
02:31aGrant Thornton fined $3.2 million over Patisserie Valerie audit
02:29aAldi UK to invest 1.3 billion stg over next two years
02:28aKuroda vows to keep BOJ's focus on COVID-19 response amid weak inflation
02:26aChina's Geely starts making commercial satellites
02:26aUK gas stations are running dry in English cities, retailers association says
02:17aCHINA EVERGRANDE : Aussie climbs, yen dips as Evergrande contagion fears recede
02:13aMessaging platform Signal faces outage
02:10aMany Apple, Tesla suppliers halt production in China amid power pinch
Latest news "Economy & Forex"